Your Move
A Guide to the Successful Sale of Your Home
Chad Smith REALTOR® 615.545.8287 chad@chadsmithhomes.com ChadSmithHomes.com TNLIC# 300653
1 | YOUR HOME
Your Home is Your Most Valuable Asset THE PARKS DIFFERENCE Parks advocates for our clients and guides them through real estate transactions with extraordinary service, uncompromising ethics, and exceptional knowledge. Our group of outstanding agents and support team have a strong commitment to service, integrity, and professionalism. We build lifetime relationships by providing unparalleled experiences for our clients. Our marketing ideology is expressed via our internal experts and promoted through a presence that spans local, domestic and international markets. Real estate is our passion, and Parks will not rest until your home is sold.
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3 | YOUR HOME
Who We Are Parks has been in business for over 40 years and is honored to consistently be recognized for our excellence. We’re one of Nashville Business Journal’s top-ranked residential brokerage firms, at the top of the charts for national independent firms, and we’re highly ranked in the Real Trends Top 500 Report. Parks is recognized as a Top Workplace by The Tennessean because of our focus on our staff and agents.
Global is the New Local Parks is a member of Leading Real Estate Companies of the World, the world’s largest global network of premier locally branded companies dominated by many of the world’s most powerful independent luxury brokerages. Leading RE and its luxury marketing division, Luxury Portfolio International, connects luxury sellers with high-end home buyers from around the world. So while the Parks brand is uniquely local, our reach is global.
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FACTORS INFLUENCING THE SALE OF YOUR HOME PRICE & TERMS
NETWORK
TIMELINE & MOTIVATION
ADVERTISING -- Direct Mail -- Newsletter -- Website -- Photography
SELLER
REALTOR®
MARKETING
CONDITION OF PROPERTY AVAILABILITY
-- Signs -- MLS -- Showing Center -- Agent-to-Agent
MARKET CONDITIONS
ECONOMY
-- Interest Rates
-- Relocation
-- Loan Programs
-- Disposable Income
-- Borrowing Capacity
LOCATION
COMPETITION
-- Community
-- Resale
-- Area
-- New Construction
-- County/State
-- Renovation
Pricing Your Home WHY IS ACCURATE PRICING SO CRITICAL? Don’t test the market. Accurate pricing is the first and one of the most important aspects when selling your home. The combination of attractive pricing and packaging are essential for a successful sale. The first 2-3 weeks on the market are crucial as buyers display high interest in new listings. Markets are dynamic, and the price you set has an expiration date.
FACTORS IN DETERMINING PRICE Using optimal positioning and strategic pricing, Parks agents are highly trained to ensure your home is adequately prepared for market and will sell for the highest price in the shortest amount of time.
5 | YOUR HOME
FINANCIAL MARKET
-- Industry
How Buyers Find A Home The world we live in today is a digital one and searching for a home is no different. Buyers rely heavily on the Internet, mobile apps, and their real estate agent in their search for homes. While 95% of buyers used the Internet in their search over 88% used a real estate agent to purchase their home. Both the digital world and real
BUYERS STATS The Internet has become an essential tool in the home search process. 95% of buyers used the Internet at some point in their search 50% of buyers used the Internet as the first step in the home buying process 88% of buyers use a real estate agent to purchase a home
estate agents are vital in the home buying process.
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Every Home Has a Story Conducting a compelling marketing campaign is a blend of art and science. At Parks, our goal is to capture the attention and imagination of the right prospective buyers for your home. We strive to honor each and every property we sell by designing custom branding that tells your story in a unique and authentic way.
COMING SOON “PRE MARKETING”
THE PARKS WEBSITE
Coming soon or “pre marketing” is designed to generate a buzz among buyers, helping to line up potential offers from the ensuing hype and attention. Additionally, it helps to gauge buyer interest and can result in a much quicker sale of your property.
To guarantee maximum online exposure, Parks will feature your property on the company website. The website will display high-resolution photos and an original write-up of your property that will highlight the key features of the property.
SIGNAGE
Our website is optimized for both desktop and mobile users, to ensure a seamless browsing experience.
We install custom, well-branded signage in the best location for your property. Signs are designed for maximum visibility.
PROFESSIONAL VIDEO & PHOTOGRAPHY Gorgeous photographs and video walk-throughs—buyers want it all. In today’s digital world, quality imagery is the most important vehicle for projecting the vision of home design. Visually stunning video and photography is vital to conveying the unique message of your property. More people will view your home online than will ever visit it personally. Getting and holding their attention online with visually appealing professional photography is one way to ensure the probability of an in-person showing.
LUXURY PORTFOLIO The award-winning LuxuryPortfolio.com represents more high-end properties than any other luxury network, leveraging visually stunning photography and video technology to create a cutting edge experience for buyers when browsing the world’s outstanding luxury properties.
WEBSITE SYNDICATION It’s no surprise that the Internet is the #1 resource where buyers are looking for their homes. A recent National Association of Realtors (NAR) survey shows that 50% of buyers used the Internet as the first step in their home search. Through listing syndication, we maximize your property’s exposure through hundreds of websites that reach local, national, and international home buyers.
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ONLINE LISTING SYNDICATION
MLS
REALTOR.com
1,000s of National Independent Brokers
100s of Other Websites
zillow.com trulia.com homefinder.com
SOCIAL MEDIA
AGENT-TO-AGENT
Today’s buyers are social. At Parks, we expertly navigate the social media world. Our in-house social media experts consult with your Parks agent to craft a distinctive narrative for your property and establish a diverse presence across multiple social media platforms. Through this message we are able to promote your property and reach existing and new clients.
According to NAR’s most recent Home Buyer Profile, 88% of buyers use a real estate agent to purchase their home. At Parks, our agents dedicate the time to actively market your property to other agents through networking, emails, phone calls, and a strong social media component. Our goal is to create a buzz around your property.
Years of combined work in real estate has connected us to professional agents all over the world and allows us to assist clients in buying or selling a home anywhere in the United States or across the globe. Parks is also part of a preferred broker network that partners with third party relocation management companies referring business to us daily.
Custom brochures, flyers, and postcards are professionally designed and meticulously crafted by our in-house design team. Clean, luxurious design, rich colors, and a unique, thoughtfully crafted message align your property with the level of sophistication sought out by today’s buyers.
DIRECT DIGITAL Email is a highly-effective strategy when reaching new buyers and our network of real estate agents. Our in-house marketing team will create a custom email campaign that brings your property to the buyer’s hand. By diversifying our marketing campaigns across multiple mediums, including email, we are able to cultivate significantly more interest for your property.
RELOCATION EXPOSURE
Continued corporate relocation training and coaching through the relocation department help to establish and promote our real estate professionals, making new connections and expanding their buyer pool. With memberships to all the local chambers, we continue our outreach to local businesses offering various services.
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The Cost of Selling a Home As you prepare to sell your property, it is important to sit down and figure out what the true cost will be. As with any large venture, there are a multitude of costs associated with selling and most of these costs can chip away at your net gain.
EXISTING MORTGAGE PAYOFF
CLOSING COSTS
If you own a home that has a mortgage, you have to pay off the loan the same day that you close on the sale of the house. This payoff will include any remaining principal, accrued interest, and prepayment penalties, if applicable.
Closing costs associated with the sale of your home will be listed on your settlement statement which you will receive from your title company. There are closing costs for both buyer and seller, and in some cases, the buyer may ask that the seller pay for a portion or all of their closing costs. Closing costs typically include title insurance, recording fees, pro-rated taxes, and real estate agent commissions. Closing costs will be deducted from any proceeds you receive from the sale of your home.
HOME EQUITY LOANS If you have borrowed against the equity in your home, you will have to pay that off at the sale of your home.
MOVING EXPENSES Moving can be a very expensive endeavor. Whether you are moving across town or to a new city, it’s important to calculate the cost of moving when determining the true cost of selling your home.
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TOP STAGING TIPS
STAGING AN D IMPROVEMENTS From the moment your home hits the market, it needs to look its very best. Homes that appear well-maintained, both inside and out, are perceived as more desirable and valuable. Depending on your home’s condition, there are four ways that will help your home impress buyers: enhance your home’s curb appeal, repairs and upgrades, declutter, and staging. Improving the aesthetic of your home to attract buyers, coupled with a great pricing strategy, typically results in less days spent on the market and often yields a higher price.
1
Declutter Your Home Clear out personal items; remember that buyers will look everywhere, including your closets and cabinets. 2
Make It Shine Your home should be “hotel clean.” Hire a cleaning company if you don’t have time to clean extensively.
Keep Grass Green and Tidy Your front yard creates your home’s first impression to prospective buyers. Make sure your lawn is green and trimmed, and your shrubs and flower beds should be well-tended.
3
Stay Neutral Paint the walls a fresh, neutral color.
Top 3 Spaces to Declutter 1. Kitchen 2. Living Room 3. Closets
4
Carpets Cleaned Clean or replace soiled or worn carpeting.
How Staging Impacts a Buyer
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EASIER TO VISUALIZE AS A FUTURE HOME - 81%
Furnish With A Purpose Buyers want to imagine themselves in the home. Rooms that lack a clear function are confusing, so remove conflicting furniture and choose a specific purpose for each space.
MORE WILLING TO WALK THROUGH HOME VIEWED ONLINE - 46%
POSITIVELY IMPACTS HOME VALUE IF DECORATED TO BUYER’S TASTE - 45%
0% 10
% 80
% 60
% 40
20
%
OVERLOOK HOME’S FAULTS - 28%
! Buyers stay in a vacant home an average of 5 minutes, but tour a furnished home for an average of 40 minutes.
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Getting an Offer When you receive an offer on your house, it is imperative that you review it carefully. The offer tells you the price the buyer is willing to pay and under what terms.
REVIEW OFFERS
A good offer can be close to the list price, sometimes exactly your asking price or even over list price, depending on the market at the time you list your home. If the offer is less than you wanted, look at the contract as a whole. Perhaps the buyer is assuming some of the closing expenses. Consider possession and financing terms, as well. As you review the offer, remember the time on the market to find another buyer is an additional expense. Once you’ve read the offer, you have several choices: -- Accept the terms with no changes and sign the offer -- Make a counteroffer to the buyer by making some changes -- Reject the offer entirely
NEGOTIATION AND COUNTEROFFERS
There is no limit to the number of times a seller and buyer can go back and forth when negotiating the terms of the sale. Almost anything can be a bargaining point. You may then accept the offer, reject it, or counter it. Countering the offer begins negotiation.
Counteroffers A real estate counteroffer is generated by the seller after a buyer has submitted an offer to purchase and the terms are not agreeable to the seller. Typically, a counteroffer states that the seller has accepted the buyer’s offer subject to particular changes to the offer. The following particulars can address such items as: -- Higher price -- Refusal to pay for buyer closing costs or home warranty -- Altering the closing date -- Modifying home sale contingency time frames -- Excluding personal property
Managing Multiple Offers When the number of buyers outweighs the existing housing inventory, it’s not uncommon for sellers to receive multiple offers on their property. When there are multiple offers, the seller typically takes one of three actions: -- Accepts the most favorable offer -- Counters all offers to give everyone a chance to come back with a better bid in an effort to get the best price and terms (highest and best) -- Counters the offer closest to the price and terms the seller is seeking
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From Contract to Close Once you have an accepted offer on your property, the contract to close process begins. Your Parks agent will monitor these critical timelines and work closely with the buyer’s agent to make sure all contract contingencies are met.
THE CLOSING
As a seller, you will transfer the property to the buyer, fully pay off any mortgages, and receive your sales proceeds. If you are using the proceeds for a new home purchase on the same day or shortly thereafter, it is particularly important that your closing runs smoothly. Your Parks agent will be there with you at the closing table to answer any questions you may have.
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Five Step Selling Process 1
PREPARE
Define your goals for selling your home Prepare your property per your RealtorÂŽ recommendations Determine list price
2
MARKET
List in MLS Implement customized marketing plan Show your property
3
OFFER
Receive an offer Negotiate to sell Negotiations include price, terms, and timing
4
INSPECT
Buyer inspects home Negotiate repairs, if needed Lender performs appraisal
5
CLOSE
Sign all closing papers Deed and title transferred to buyer Funds transferred to seller